New research from property portal Zoopla has revealed a stark geographical divide in UK housing affordability, identifying Shildon in County Durham as the nation's most budget-friendly location for working families in 2025.
The comprehensive study, which analysed postal towns containing 5,000 properties or more, found that typical homes in the North East town cost just £73,900 – requiring barely more than one year's combined income for dual-earner households.
The North-South Property Divide
Zoopla's analysis highlights a dramatic affordability gap across the country. While Shildon leads with a house price-to-earnings ratio of just 1.23, the picture is completely different in the South East.
Beaconsfield in Buckinghamshire was identified as the least affordable town, where typical house prices exceed £1.1 million – representing more than 15 times average household income.
Richard Donnell, executive director at Zoopla, commented: "Our latest affordable towns research clearly highlights the wide gulf in the affordability of housing for home buyers across the UK and within regions."
Regional Winners and West Midlands Spotlight
The research shows that Scotland and the North East of England dominate the rankings for most affordable locations. Newcastle-under-Lyme emerged as the West Midlands' most affordable town, with average property prices of £182,200 representing 2.88 times local household income.
This positions the Staffordshire town as more affordable than any location in Birmingham or the Black Country, offering better value for money for prospective buyers in the region.
Here are the most affordable towns by region according to Zoopla's study:
- North East: Shildon - £73,900, £60,300 income, 1.23 ratio
- Scotland: Cumnock - £83,700, £67,200 income, 1.25 ratio
- Wales: Ferndale - £105,300, £60,500 income, 1.74 ratio
- West Midlands: Newcastle-under-Lyme - £182,200, £63,300 income, 2.88 ratio
Changing Home Buying Patterns
The research indicates that average dual earners looking to purchase a property can still expect to pay 4.4 times their combined yearly income – slightly down from 4.5 times in 2024.
Donnell noted that buying patterns are evolving: "The days of most people moving within five miles of where they live are over. We can see that a growing number of buyers are having to look further afield to find better value for money."
The premium for properties in commuter belts around London remains significant, with towns like Gerrards Cross and Esher in the South East featuring prominently among the least affordable locations.
For those prepared to look beyond traditional areas, the research provides a valuable guide to where housing remains within reach of typical working families across different regions of the UK.
